Purpose: The department is amending rules in chapter 388-410 WAC on when the department establishes and collects
overpayments for the Washington Basic Food program and the
Washington combined application project (WASHCAP) food
assistance.

These changes are to meet requirements for the food stamp
program under 7 C.F.R. 273.18, Claims against households.

WAC 388-410-0020
What happens if I ((get)) receive more
((food assistance)) Basic Food or WASHCAP benefits than I am
supposed to ((get)) receive?
(1) If you ((get)) receive more
((assistance)) Basic Food or WASHCAP benefits than you were
supposed to ((get)) receive, your assistance unit (AU) has ((a
food assistance)) an overpayment. There are three types of
((food assistance)) overpayments:

(a) Administrative error overpayment: When you received
too many benefits because the department made a mistake.

(b) Inadvertent household error overpayment: When you
received too many benefits because you made a mistake or
didn't understand what you were supposed to do.

(c) Intentional program violation (IPV) overpayment:
When you received too many benefits because you broke a food
stamp rule on purpose. If you have an IPV, you could be
disqualified from receiving ((food assistance)) Basic Food or
WASHCAP benefits under chapter 388-446 WAC.

(2) ((The department)) We must ((set up and start
collecting)) discover an overpayment within certain time
frames for us to establish and collect an overpayment. If we
do not ((meet both of the time frames)) discover that you
received too many benefits within the timeframe described
below based on the type of overpayment ((your AU has)), we
will not set up an overpayment:

(a) Administrative error
overpayment:

(b) Inadvertent household error
overpayment:

(c) Intentional program violation
overpayment:

We must discover the overpayment
within twelve months of the date
you were overpaid((; and)).

We must discover the overpayment
within twenty-four months of the
date you were overpaid((; and)).

We must discover the overpayment
within seventy-two months of the
date you were overpaid((; and)).

((We must mail your household a
recovery demand letter and
overpayment calculation within
twenty-four months of the date that
we discovered you were overpaid.))

((We must mail your household a
recovery demand letter and
overpayment calculation within
twenty-four months of the date that
we discovered you were overpaid.))

((We must mail your household a
recovery demand letter and
overpayment calculation within
twenty-four months of the date that
were discovered you were
overpaid.))

WAC 388-410-0025
Am I responsible for an overpayment in
my assistance unit?
If your assistance unit (AU) ((gets))
received more ((food assistance)) Basic Food or WASHCAP
benefits than it was supposed to ((get)) receive, your AU has
an overpayment. If you have an overpayment, ((the department
determines)) we determine the amount you were overpaid and
((sets)) set up a claim to recover this overpayment.

(1) We set up an overpayment for the full amount your AU
was overpaid for every adult AU member at the time your AU was
overpaid.

(2) Each adult member is responsible for the whole
overpayment until we recover the entire amount of the
overpayment. We do not collect more than the amount your AU
was overpaid.

(3) If we determine you are responsible for an
overpayment, you are responsible for the overpayment even if
you are now in a different AU than you were when you had the
overpayment.

WAC 388-410-0030
How does the department calculate and
set up my Basic Food or WASHCAP overpayment?
(1) ((The
department calculates)) We calculate the amount of your Basic
Food or WASHCAP overpayment by counting the difference
between:

(a) The benefits your assistance unit (AU) received; and

(b) The benefits your AU should have received.

(2) To calculate the benefits your AU should have
received, we determine what we would have authorized if we:

(a) Had correct and complete information; and

(b) Followed all the necessary procedures to determine
your AU's eligibility and benefits.

(4) If we paid you ((were underpaid)) too few Basic Food
or WASHCAP benefits for a period of time, we will use ((these
benefits)) the amount we underpaid your AU to reduce your
overpayment if:

(a) We have not already issued you benefits to replace
what you were underpaid; and

(b) We have not used this amount to reduce another
overpayment.

(5) We must set up an inadvertent household error or
administrative error overpayment if:

(a) We discovered the overpayment through the federal
quality control process;

(b) You currently ((get)) receive Basic Food or WASHCAP
benefits; or

(c) The overpayment is over one hundred twenty-five
dollars and you do not currently ((get)) receive Basic Food or
WASHCAP benefits.

(6) ((We do not set up inadvertent household error or
administrative error overpayment if:

(a) We cannot find the responsible AU members; or

(b) We have)) If you have an inadvertent household error
that we referred ((your inadvertent household error)) for
prosecution or an administrative disqualification hearing, we
will not set up and start collecting the overpayment if doing
so could negatively impact this process.

(7) We set up an intentional program violation
overpayment based on the results of an administrative
disqualification hearing (chapter 388-02 WAC) unless:

(a) Your AU has repaid the overpayment; or

(b) ((We cannot find the responsible AU members; or

(c))) We have referred your inadvertent household error
for prosecution and collecting the overpayment could
negatively impact this process.

WAC 388-410-0033
How and when does the department
collect a ((food assistance)) Basic Food or WASHCAP
overpayment?
(1) When we set up an overpayment because you
received more Basic Food or WASHCAP benefits than you were
supposed to receive, we start to collect the benefits you were
overpaid. This includes when we:

(a) Modify an established overpayment to an amount we
would not have to set up under WAC 388-410-0030(5); or

(b) Set up an overpayment that we do not have to set up
under WAC 388-410-0030(5).

(2) You can repay your overpayment by:

(a) Paying the entire amount at once;

(b) Having us take the amount of your overpayment out of
your EBT account;

(c) Making regular ((installments)) payments under ((a
payment schedule as specified)) a scheduled repayment
agreement as described in subsection (((3))) (4) of this
section; or

(((2))) (3) If you have an inactive EBT account and we
cancelled ((food assistance)) Basic Food or WASHCAP benefits
in the account under WAC 388-412-0025, we use the cancelled
((funds)) benefits to reduce the amount of your overpayment.

(((3))) (4) If your AU currently ((gets food assistance))
receives Basic Food or WASHCAP benefits, you can repay your
overpayment by making monthly ((installments that you agree on
with the department)) payments. The ((agreement)) payments
must be more than we would recover through us reducing your
benefits. Your AU or the department can request a change to
the agreement if necessary.

(((4))) (5) If you are responsible for repaying an
administrative or inadvertent household error overpayment, we
automatically reduce your monthly benefits ((if you do not))
unless you:

(a) Pay the overpayment all at once;

(b) Set up a repayment agreement with us; or

(c) Request a ((fair)) hearing and continued benefits
within ninety days of the date you received your collection
action notice.

(((5))) (6) If you are responsible for an intentional
program violation (IPV) overpayment, you must tell us how you
want to repay this overpayment within ten days of the date you
((get)) receive your collection action notice. If you do not
do this, we will reduce your current monthly benefits.

(((6))) (7) If you ((get)) receive ongoing ((food
assistance)) Basic Food or WASHCAP benefits, we can reduce
your monthly benefits to repay the overpayment. We do not
reduce your first ((food assistance)) Basic Food or WASHCAP
allotment when we first approve your application for ((food
assistance)) benefits.

(a) If you have an administrative or inadvertent
household error overpayment, we reduce your benefits by the
greater of:

(i) Ten percent of your monthly benefits; or

(ii) Ten dollars per month.

(b) If you have an IPV overpayment, we reduce your
benefits by the greater of:

(i) Twenty percent of your monthly benefits; or

(ii) Twenty dollars per month.

(((7))) (8) If you do not meet the terms of a repayment
agreement with the department, we automatically reduce your
current ((food assistance)) benefits unless you:

(a) ((Catch up with all overdue payments)) Pay all
overdue payments to bring your repayment agreement current; or

(b) Ask us to consider a change to the repayment
schedule.

(((8))) (9) If ((you no longer get food assistance, we
will refer your overpayment for federal collection if the))
your overpayment claim is past due for one hundred eighty or
more days, we refer your overpayment for federal collection. A federal collection includes reducing your income tax refund,
social security benefits, or federal wages. We do not count
your overpayment as past due if you:

(a) Repay the entire overpayment by the due date; ((or))

(b) Have your monthly benefits reduced to repay the
overpayment; or

(c) Meet the requirements of your scheduled repayment
agreement.

(((9))) (10) If you no longer ((get food assistance))
receive Basic Food or WASHCAP benefits, we can garnish your
wages, file a lien against your personal or real property,
attach other benefits, or otherwise access your property to
collect the overpayment amount.

(((10))) (11) We suspend collection on an overpayment if:

(a) We cannot find the responsible AU members; or

(b) The cost of collecting the overpayment would likely
be more than the amount we would recover.

(((11))) (12) We can negotiate the amount of an
overpayment if the amount you offer is close to what we could
expect to ((get)) receive from you before we can no longer
legally collect the overpayment from you.

(((12))) (13) We write off unpaid overpayments and
release any related liens when:

(a) We can not possibly collect any more funds;

(b) We agreed to accept a partial payment that left an
unpaid balance after this payment; or

(c) There is an unpaid balance left after an overpayment
case has been suspended for three consecutive years unless a
collection may be possible through the Treasury Offset
Program.

(((13))) (14) If your AU has an overpayment from another
state, we can collect this overpayment if the state where you
were overpaid does not plan to collect it and they give us the
following:

(a) A copy of the overpayment calculation and overpayment
notice made for the client; and